Inside the celebrity franchise phenomenon | Global Franchise
Global Franchise
Logged out article
Inside the celebrity franchise phenomenon

Insight

Inside the celebrity franchise phenomenon

Franchising has always offered huge opportunities for collaboration, but some partnerships can open a star-studded path to success for all parties involved.

Drawn by the opportunity to create a legacy as well as another lucrative string to their bow, celebrities have found a new stage on which to shine – franchising. But what advantages does star power really bring to brands and businesses, and how can franchising serve the needs of those already in the public eye? We talk to brands who have teamed up with famous faces to find out what impact the partnerships have for all parties.

Why celebrities choose franchising

While talent and a dash of business acumen may propel the lucky ones into the limelight of fame and fortune, the appeal of franchising resides in its promise of enduring financial stability and entrepreneurial satisfaction, qualities often elusive in the volatile world of showbiz. Franchising presents celebrities with an opportunity to broaden their revenue streams beyond their main pursuits in sport and entertainment, ensuring long-term security and fostering additional sources of income.

In fact, franchising appeals to celebrities for the same reasons as many others with capital to invest. Focusing an entire career on performance doesn’t necessarily teach real world business skills, but franchising provides a ready-made business model along with comprehensive support, particularly appealing to those who may lack experience in running a business but keen to explore entrepreneurship.

We’re a national brand before we even started. We have a fan base. We create curiosity.

In other instances, it’s precisely their expertise and business acumen that catapult individuals into elite celebrity status. Take Jon Taffer, for example. His renowned reputation across the entertainment and hospitality sectors stems from years spent honing and disseminating his expertise in the art of crafting successful bars.

His hit television show, Bar Rescue, has solidified his position as one of the most popular and prominent figures in the culinary world. With his recognizable and trustworthy presence, Taffer now lends credibility to his franchise venture, Taffer’s Tavern, leading to trust from both consumers and investors alike.

“Taffer’s Tavern is an ascending brand,” said Jon Taffer. “We’re growing, we’re energetic, we’re promotionally dynamic. But there’s a big difference between our ascending brand and other ascending brands. You see, we’re a national brand before we even started. We have a fan base. We create curiosity. We’re an ascending brand that has the power of a strong existing brand that gives us a competitive advantage. We’re not spending money to build the brand. We’re spending money to build traffic.”

Leading lights in franchising

When it comes to celebrity franchise owners, not many could rival Shaquille O’Neal in terms of scale and impact. The world-famous basketball player and founder of Big Chicken – the rapidly-expanding sandwich franchise concept – also owns nine Papa John’s, 17 Auntie Anne’s, 27 Krispy Kreme locations as well as an endorsement deal with Papa John’s worth $10 million.

And Shaq is a well-seasoned investor. Previously, he owned 155 Five Guys restaurants, which he bought for $100 million and sold on in 2016, capitalizing on their increased value. In an interview with Wall Street Journal, Shaq revealed what he found so attractive in franchising. “It’s just partnering up with another reliable, excellent brand. Being in business with people, and just owning stuff.”

But Shaq’s not the only entrepreneurial basketball star with business nous. Magic Johnson owns over 100 franchise units across several chains, including Starbucks (his investment group owns over 150 locations, the most operated by any Starbucks franchisee) and T.G.I. Fridays. In 2016 he sold off his 30 Jamba locations – a healthy juice franchise also loved and endorsed by tennis legend and icon Venus Williams, who owns multiple locations in the Washington area.

Franchising spans all backgrounds and sectors, and the same is true for its celebrity investors. Actor Mark Wahlberg, along with two of his eight siblings, singer and producer Donnie and chef Paul, owns franchise network Wahlbergers, with more than 90 restaurants across the U.S., Canada, Australia and New Zealand.

The showbiz brothers shrewdly leveraged their brand’s success with a popular reality TV show which aired for 10 seasons, flipping the famous Boston family’s burger joint straight into the homes of millions of fans.

Franchising spans all backgrounds and sectors, and the same is true for its celebrity investors.

Meanwhile multi-platinum artist Chris Brown quietly expanded his business empire with investments in 14 Burger King franchise locations, while Grammy award-winner Megan Thee Stallion made a bigger splash when she recently signed a franchise deal with Popeyes, launching her first location in Louisiana along with her very own hot sauce and co-branded merch, an endorsement that’s significantly enhanced the franchise’s visibility and credibility along with the rapper’s.

By aligning themselves with well-known personalities, franchise brands benefit by attracting publicity and new customers, driving sales, and strengthening their market position, but the deal breaks two ways – franchising also offers a new platform for celebs to engage with fans and build deeper connections.

The power of personal endorsement

Celebrity endorsement works best when it comes from a heartfelt and genuine place. Savvy consumers can spot a sell out a mile off, and disingenuous marketing has been known to result in the loss of fans and followers. Much better, therefore, to partner with a star who has a genuine love for the product or service you provide.

Robyn Dixon, star of Bravo Network’s Real Housewives of Potomac, recently signed a franchise deal for Glo30, a doctor-led, subscription-based skincare studio, to expand the brand in her home state of Maryland. As an avid personal consumer and Glo30’s former publicist, she was in a good position to do so.

“After being a member for more than 10 years, I’ve seen first-hand how the treatments have outlasted skincare trends and brought life-changing results,” Dixon explained. “As soon as I heard the brand was franchising, I jumped at the chance to expand the Glo30 franchise, starting in Columbia. Glo30’s hyper-focused, highly effective services are the best in the industry, and I didn’t want to miss the opportunity to invest early.”

Founder Dr. Arleen Lamba expressed her excitement about the reality star’s new role as a Glo30 franchisee. “Having Robyn, who has been a member and huge advocate for over a decade, partner with us to grow throughout Maryland is meaningful,” said Dr. Lamba. “It speaks volumes to the connection we’ve fostered with our members and communities when members like Robyn want to take part in our growth across the country.”

The franchise opening will be documented on an upcoming season of Real Housewives – a storyline that’s likely to impact franchising as positively as Glo30. “It will definitely be something that we’ll hopefully see develop and grow and be inspiring for people to want to be franchise owners or business owners as well,” said Dixon.

Robyn Dixon and Dr. Arleen Lamba in front of a Glo30 sign

Creating a legacy

“Just like when dropping a pebble into a pool creates rings, celebrities bring the same impact to a brand,” says Dan Rowe, founder of global franchising leader Fransmart, which specializes in developing growing and emerging brands, including Glo30. “In busy social feeds, celebrities make people stop to focus on what they are talking about. A celebrity endorsement brings new awareness, amplifies existing awareness and adds an additional degree of credibility. This technique has been used forever for a reason – it works.”

During Dan’s experience in working with celebrities in franchising over the years, he’s noticed something special about them. “They’re driven by a deep desire to leave a positive mark on the world and uplift others,” he remarked.

“Some express this through food, others help folks to build wealth or start their own businesses, nurturing a diverse community of business leaders. Take Fabio Viviani from JARS, for instance. He’s about as down-to-earth as they come, genuinely dedicated to spreading happiness through food and innovation. He saw franchising as a way in which to bring that joy to even more people.

“Another great example, and one of my favorite stories, is how Pitbull and I met and partnered up to build Cilantro Taco Grill. He came to me fired up about the lack of Latino-owned chains, eager to use his star power for good. By teaming up with Cilantro and Fransmart, Armando Perez (Pitbull) is turning his dream of making a difference into reality. It’s a powerful reminder of how franchising can truly impact communities in so many ways.”

In an industry that more often sees non-Latinos getting wealthy from owning or leading franchise brands serving Latin food, Cilantro Taco Grill is breaking barriers by supporting Latino workers. It’s one of the only Mexican food franchises owned by Mexicans and has reached massive success while supporting employees in becoming franchise owners themselves. The intended long-term impact on Mexican communities is significant – the brand plans to open 1000 locations over the next 10 years.

By providing marketing support, Perez is doing much more than just putting his face on the front of the franchise. He is a true advocate, lending his voice, star power, and talent to grow the franchise across the world.

“This includes promoting the brand and new openings on his social media channels and at concerts, partnering with founder and fellow Latino Temoc Morfin on media appearances, and even connecting Cilantro with key industry players interested in the brand.

Perez speaks passionately of his own “American dream” accomplishments and the responsibility he feels to help others achieve theirs. In both Temoc and Cilantro, he feels a kindred spirit. “What really made me fall in love with the opportunity and with them as human beings is the story,” said Perez. “If we relate to each other’s stories, then that means we will always find ways to create solutions in the business.”

In busy social feeds, celebrities make people stop to focus on what they are talking about.

Another brand benefitting from having a genuine famous fan is Famous Toastery, a North Carolina-based brunch restaurant chain enjoying national exposure thanks to its partnership with NASCAR driver Michael McDowell.

“Michael and his family have been avid fans and loyal guests of Famous Toastery for nearly a decade, said president Mike Sebazco. “As discussions of a partnership came about organically, it was only fitting that we would formalize an agreement. Michael’s synergies with Famous Toastery range from being a pillar in the community to sharing values in common, as well as a mutual desire to grow our brands.

The partnership evolved from appearances and social media to custom race-day gear and impactful messaging showcased in marketing campaigns focused on McDowell.

“Michael serves as a respected ambassador and voice in the NASCAR world – allowing Famous Toastery to be part of conversations and communities which we may not have been involved in prior to the partnership,” continued Sebazco. “We are now able to speak to diversified outlets including, but not limited to, NASCAR and sports-centric distributors. Michael races nationwide and has an avid following of fans across the U.S., allowing Famous Toastery to grow outside of its regional roots. McDowell’s partnership also led to Famous Toastery hosting the Famous Toastery Bowl in December 2023 alongside ESPN, again landing Famous Toastery on the national stage.”

NASCAR driver Michael McDowell

Michael McDowall isn’t the only racing driver focused on franchising. NASCAR champion Joey Logano, renowned for his outstanding career achievements, recently teamed up with The Good Feet Store, significantly elevating the brand’s visibility and credibility.

Logano’s sincere endorsement, boosted by his personal experience of the product’s benefits, serves as a compelling marketing asset, bolstering the brand’s reputation as leading arch support specialists, and resonating strongly with customers through his authenticity.

Eric Kaplan, the owner of multiple Good Feet Store locations, underscores Logano’s sincere endorsement of the product, derived from his personal experience of its benefits. This authenticity resonates strongly with customers.

New wave of influencers

Ever since the rise of YouTube and social media, brands have jostled to meet consumers where they’re at – on their mobile devices. The prospect of ‘going viral’ is greatly enhanced if you have an endorsement from an influencer with millions of followers.

Britain’s most famous YouTube collective, the Sidemen, regularly attract over 10 million views from a loyal and dedicated Gen Z audience each week. In 2022, members KSI and Logan Paul branched off to launch Prime Hydration, a sports drink that became a sensational sell-out hit. Now the group has targeted the food industry with a franchised restaurant chain, Sides.

“The Sidemen are probably the biggest YouTube content creator groups in Europe,” said Faisal Butt, CEO at Skyview Brands Group. “Our vision was to create a brand that taps not only into the Sidemen’s audience, but also to reach a wider customer base.

“We’ve collaborated to put together an inviting concept and a fantastic menu, while the Sidemen’s ability to reach large audiences quickly via their social media enables the brand to communicate directly to its audience in an unparalleled way, telling them about new store openings and product launches, and therefore helping to build loyalty.”

According to Faisal, landlords now actively seek out Sides due to the increased footfall and dwell time the social media stars bring to an area. The ability to create audiences and drive traffic is an attractive proposition for potential franchisees, but it can occasionally have downsides too – at a recent UK store opening the police and local council banned the Sidemen’s presence, due to concerns that more than 10,000 people were planning on coming to visit them at the store.

“It’s difficult to measure the total impact, but you can see the mass attraction and demand for expansion that the Sidemen create,” continued Faisal. “They are focused on building brands and intellectual property above brand deals. It’s a creator economy currently and we see this as the future for franchising.”

The Sidemen’s ability to reach large audiences quickly via their social media enables the brand to communicate directly to its audience in an unparalleled way.

Another YouTuber, comedian Danny Duncan, who’s amassed over 1.5 billion views on the platform and generated millions in merchandise sales, invested in New York City’s leading self-serve frozen yogurt shop, 16 Handles, after being particularly impressed as a customer in the Manhattan store. The 30+ unit franchise brand was purchased by New York entrepreneur Neil Hershman in 2022, with plans to grow beyond the Tri-State area through an aggressive franchise push across the East Coast.

Co-owner Danny serves as the brand’s Chief Creative Officer and has featured 16 Handles in a number of his vlogs, including visiting stores, building a 16 Handles Froyo truck, and sharing with his audience his behind-the-scenes journey. His involvement has helped to attract a new consumer base of young males and aided franchise expansion over five states.

“We have a lot of big projects on the horizon featuring Danny and his network of celebrity Youtubers,” said Hershman. “We plan to launch collaborative flavors, unique experiences, and engageable social media content over the coming months including Danny and his vast network of online influencers.”

Neil Hershman and Danny Duncan outside a branch of 16 Handles

Match made in heaven: why franchising lures in stars

  • Increased potential for business success
    By investing in a franchise, celebrities can leverage existing brand success and customer loyalty to drive their own business ventures with less risk.
  • Capitalize on their own brand
    Franchising offers celebrities a chance to capitalize on their personal brand and popularity. With a built-in fan base, celebrities can attract customers to their franchise locations, creating a buzz and driving foot traffic.

    This not only translates into increased sales but also provides an opportunity for celebrities to engage with their fans in a different capacity, fostering deeper connections and supporting communities.
  • Turn-key business model
    Franchising provides celebrities with a turnkey business model that comes with comprehensive support and training. This is particularly appealing for those who may not have prior experience in running a business.

    Franchise systems offer operational guidelines, marketing support, and ongoing assistance, allowing celebrities to focus on their strengths while leaning on the expertise of the franchisor.
  • Long-term financial stability
    Franchising offers celebrities a chance for long-term financial success. Unlike endorsement deals or acting roles that may have a limited lifespan, a well-run franchise can generate steady revenue for years to come as well as grow into a valuable asset.

    This financial stability can provide celebrities with the security and freedom to pursue other passions or philanthropic endeavors.

Start making informed business decisions. Join Global Franchise Pro for free today.

Latest trends and investment opportunities

Unlimited access to industry news and insight

Exclusive market reports and expert interviews